The US dollar held steady early in the Asian session after the PPI data fell 0.1% in August, reinforcing expectations that the Fed would cut interest rates next week. The Dollar Index edged up to 97.822, marking a third consecutive day of gains. The market now awaits the release of the US CPI later tonight (WIB) for confirmation of its next direction. Market participants consider a 25 bps cut at the September 16-17 meeting almost certain. The chance of a 50 bps cut is only around 8%. Analysts' comments suggest the "benign" PPI result is in line with market pricing, shifting focus to the CPI...
The US dollar has edged lower this week, and amid all the noise affecting financial markets, the foreign exchange market is primarily focused on tariff uncertainty, according to Bank of America Securities. At 8:20 a.m. ET (13:20 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, was trading 0.3% higher at 108.045, but remains slightly lower on the week. Ahead of the presidential inauguration, market speculation that some broader tariff announcements would be on the agenda for "Day 1" sent the Dollar Index to its highest point in 2 years. Since...
Gold (XAU/USD) prices are trading broadly flat and steady around $2,760 at the time of writing on Wednesday (1/29) after a volatile start to the week. No major moves are expected, as some traders wait until the Federal Reserve (Fed) interest rate decision later in the day. Lower US interest rates are often seen as favorable for Gold to trade higher. Market expectations suggest that the Fed is likely to keep interest rates unchanged in the 4.25%-4.50% range, so traders would rather focus on Fed Chair Jerome Powell's comments on the central bank's policy outlook. And here, traders may be in...
EUR/USD traded cautiously near 1.0420 in the European session on Wednesday (29/1), with investors focused on the Federal Reserve's (Fed) monetary policy announcement at 19:00 GMT. The Fed is widely anticipated to keep interest rates steady in the 4.25%-4.50% range as officials worry that the disinflationary trend towards the central bank's 2% target has stalled and the labor market has stabilized. With markets already fully pricing in the Fed leaving rates unchanged, investors will be closely watching Fed Chairman Jerome Powell's press conference after the policy decision. Investors will be...
The pound (GBP) strengthened near 1.2450 against the US dollar (USD) in the European session on Wednesday (29/1). The GBP/USD pair strengthened as the US dollar weakened as investors liquidated some risk-off trades built on concerns that China's affordable DeepSeek Artificial Intelligence (AI) models would challenge the dominance of top-tier chatbots, such as OpenAI and Meta, narrowing China's technological gap with the United States (US). The US Dollar Index (DXY), which tracks the greenback against a basket of six major currencies, fell near 107.75. The greenback is also trading...
The Silver price (XAG/USD) trades with mild gains around $30.40 during the Asian trading hours on Wednesday. The uncertainty surrounding new tariff policies under US President Donald Trump's administration could provide some support to the precious metal. Later on Wednesday, all eyes will be on the Federal Reserve (Fed) meeting. The Fed interest rate decision on Wednesday will play a pivotal role in shaping the direction of Silver price. The US central bank is expected to hold its benchmark rate steady at its January meeting at its current range of 4.25%–4.50%. In December Fed Chair Jerome...
Gold prices traded around $2,765 per ounce on Wednesday, extending a slight recovery from the previous session as uncertainty over US tariffs spurred safe-haven demand. On Monday, President Trump announced plans to impose tariffs on imported computer chips, pharmaceuticals, and steel to boost domestic production. White House spokeswoman Karoline Leavitt also confirmed on Tuesday that Trump still plans to follow through with tariffs on Canada and Mexico starting February 1st and is considering new tariffs on China. Investors' focus is now set upon the Federal Reserve's first policy meeting...
Oil prices steadied in Asian trade on Wednesday after industry data showed a slightly smaller-than-expected build in U.S. inventories, although caution over trade tariffs and a Federal Reserve meeting persisted. Crude prices were nursing some losses this week as traders fretted over weak Chinese economic data, as well as concerns that U.S. President Donald Trump's plans for trade tariffs will stymie oil demand. Oil was also pressured by Trump planning for increased energy production in the U.S., while the President also called on the Organization of Petroleum Exporting Countries to...
The Australian Dollar (AUD) extends its losses for the third consecutive day against the US Dollar (USD), driven by lower-than-expected Consumer Price Index (CPI) data from Australia released on Wednesday. Australia's CPI rose by 0.2% quarter-on-quarter in the fourth quarter of 2024, matching the growth seen in the previous quarter but falling short of the market expectation of 0.3%. On an annual basis, CPI inflation eased to 2.4% in Q4 from 2.8% in Q3, also below the consensus forecast of 2.5%. Australia's Monthly CPI for December 2024 increased by 2.5% year-over-year, in line with...
Gold (XAU/USD) is extending its decline on Wednesday for a second consecutive day as the US Dollar (USD) and US Treasury yields firm ahead of the release of the Federal Open Market Committee (FOMC)...
Oil extended declines after OPEC+ agreed to a bigger-than-expected production increase next month, raising concerns about oversupply just as US tariffs fan fears about the demand outlook.
Brent...
The Japanese Yen (JPY) weakened against its US counterpart and reversed part of Friday's recovery from the lowest level since July 23 following Bank of Japan (BOJ) Governor Kazuo Ueda's remarks....